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Strategies & Market Trends : Buy and Sell Signals, and Other Market Perspectives
SPY 685.40+1.2%Jan 21 4:00 PM EST

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To: Chip McVickar who wrote (53991)8/26/2013 1:49:24 PM
From: Joseph Silent  Read Replies (1) of 222191
 
That seems like a reasonable argument --- the equal treatment. But I observe that the VLE

uses an equal treatment arithmetically and yet is strongly biased up (esp on the last peak) while the equal treatment geometric is biased down.

I am not so concerned about the fact that it is biased down, because the geometric is conservative by definition, but just that the magnitude difference stands out clearly in contrast to the past two peaks. MSFT was around at the two previous peaks too but perhaps weightings have changed a lot (though not for VLE).

Perhaps I'll understand it one of these days. :)
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